December 30 was a ho-hum day for the market as many investors were on the sidelines during the holiday season. Despite the low trading volume and lack of excitement, there were three different semiconductor companies that saw bullish signals generated by Tickeron’s A.I.dvisor. That is the company’s artificial intelligence tool. The signals all three showed very high confidence levels for a move higher in the next month.
Microchip Technology (MCHP), Texas Instruments (TXN), and Xilinx (XLNX) all saw bullish signals generated on December 30 and the signals showed confidence levels of 88% and 89%.
All three stocks have seen big gains since the March low, but all three have also experienced small downturns in the last few weeks.
Digging deeper in to the companies and their fundamentals, the Tickeron Fundamental Analysis Screener shows a number of positive signs for all three. In fact, all three have four positive indicators. Texas Instruments doesn’t have any negative marks, Xilinx has one, and Microchip has two.
There are two areas where all three companies get positive signals, the Valuation Ratings and the Profit vs. Risk Rating. Texas Instruments gets extremely high marks in both areas and it gets an extremely high mark for its SMR Rating. Xilinx also gets a good score for its SMR Rating while Microchip’s SMR Rating is neutral.
Microchip and Texas Instruments both score well for their Price Growth Rating while Xilinx gets a neutral rating. One indicator that is mixed is the PE Growth Rating. Xilinx gets a positive mark, Texas Instruments gets a neutral score, and Microchip gets a negative reading.
The stocks don’t fare as well in the technical analysis screener, but some of the readings are getting a little old. All three stocks did get bullish signals from the Aroon Indicator within the last 10 days. All three also got bullish signals from the moving average indicator 22 days ago. All three got bearish signals from the Bollinger Bands 17 days ago and 21 days ago, right before the previously mentioned pullbacks.
Texas Instruments received a bullish signal from the Stochastic Indicators eight days ago. Both Microchip and Texas Instruments are oversold at this time based on the stochastic indicators. All three stocks saw their stochastic indicators make bullish crossovers on December 30.
Xilinx is set to be acquired by Advanced Micro Devices (AMD) in an all stock deal, so the price of Xilinx is highly correlated to the price of AMD at this time. It is worth noting that AMD also saw its stochastic indicators make a bullish crossover on December 30.